Capstone’s Britton Foresees a $10 Billion Volatility Fund

Bloomberg – Capstone Investment Advisors LLC’s Paul Britton, whose volatility hedge-fund firm oversees $2.5 billion, predicts that within five years his small sector of the industry will produce a pool whose size rivals some of the biggest managers today.

Britton sees the funds, which bet on the price fluctuations of stocks, bonds, currencies and commodities, taking over the types of options trades that banks did before regulators curtailed their ability to make bets with their own capital.